Saudi Arabia’s style market is poised for explosive progress, in keeping with the Saudi Vogue Fee’s “State of the Vogue Sector 2024” report launched this week. The Saudi style trade, valued at $30 billion in 2023, is anticipated to achieve $42 billion by 2028, with Vogue contributing 2.5 % to the Kingdom’s GDP.
In an interview with WWD, Burak Cakmak, chief govt officer of the Saudi Vogue Fee, stated the fast-paced progress of style is in sync with nation’s broader technique to change into a worldwide style and tourism vacation spot. “The trade right here was greenfield so we’re seeing a hockey stick impact on progress, with this sudden acceleration, which may be very thrilling,” he stated. “Being linked with Saudi Arabia’s Imaginative and prescient 2030 gives an enormous alternative,” stated Cakmak, referring to the nation’s strategic plan to diversify the financial system and scale back dependence on oil.
The report highlights a number of key elements driving this strong progress. The rising participation of girls within the workforce, which elevated from 22 % in 2018 to 34 % in 2022, is boosting buying energy and demand for various style merchandise. And with 60 % of the inhabitants underneath 30, younger Saudis have altering style preferences that mix international tendencies with cultural heritage.
Cakmak famous this mixture of custom and modernity is a benchmark of Saudi style. “The mixing of traditions with up to date existence in Saudi brings out various choices by each worldwide and native manufacturers and enhancing retail experiences.”
The rise of native designers in Saudi Arabia has seen a major surge, supported by initiatives from the Vogue Fee just like the Saudi 100 manufacturers program, which for the final three years has given Saudi designers entry to mentorship, funding and each home and international visibility. “We’re beginning very humbly, recognizing that it’s a brand new enterprise for many of those manufacturers, however we now have a secure surroundings the place we’re capable of give them the steering, the help wanted to have the ability to ship it on the highest stage doable.”
Final yr noticed the launch of two marquis style weeks within the Kingdom, Riyadh Vogue Week, in addition to Purple Sea Vogue Week. Cakmak emphasised the function of those occasions in shaping the trade’s construction. “It creates a calendar and a schedule for manufacturers on the way to function their companies and a complete ecosystem round it.”
Tourism has been vital think about propelling the expansion of the style sector, with inbound tourism projected to develop from 27 million guests in 2023 to greater than 75 million by 2030. Camak stated it will considerably impression retail spending. “The funding in tourism and the variety of vacationers anticipated is sort of vital,” he stated. The Vogue Fee seized the chance to launch the area’s first ever resortwear, targeted style week on the Purple Sea final Might.
“With so many resort megaprojects opening, I believe it’s nice alternative, particularly as a result of tourism right here may be very a lot focusing on a premium luxurious viewers. There are few spots world wide positioned this manner,” Cakmak stated.
The retail panorama can be quickly evolving, which is continuous to draw extra worldwide manufacturers into the nation. Greater than 20 new retail initiatives throughout the nation will rework the buying panorama over the subsequent decade, including 8 million sq. meters of gross leasable space. Cakmak stated the Vogue Fee helps worldwide manufacturers exploring entry into the market with a knowledge pushed method, explaining that with a purpose to entice investments, the fee gives deep dive knowledge on markets and sectors within the Kingdom.
One knowledge level that has been a degree of delight are the numbers pointing in direction of gender equality in style in Saudi Arabia, the report notes. Girls now make up 52 % of the style workforce in Saudi Arabia, with 90,000 new jobs for girls within the final two years. This spans throughout numerous roles within the trade, from designers and entrepreneurs to retail professionals and executives.
As they stay up for 2025, Cakmak stated the purpose is to “make certain we’re touching each ingredient of the worth chain in style.” That additionally consists of investing and increasing their a state-of-the-art product growth studio supporting native designers with superior manufacturing amenities and applied sciences. “That is one are we need to go deeper into: textiles and manufacturing,” Cakmak stated.